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MASAOOD AND DONGFENG – A NEW CHAPTER IN THE UAE’S COMMERCIAL VEHICLE INDUSTRY
JUNE 2024
AI Ahead of the Curve INTRALOGISTICS Industry Sync INTERVIEW Beyond Boundaries
IN THIS ISSUE COVER 26 INTERVIEW BEYOND BOUNDARIES 30 COVER STORY WHEELS UNITED 36 INTRALOGISTICS INDUSTRY SYNC 40 TALKING POINT ECOAID LOGISTICS 16 OPINION DELIVERY METAMORPHOSIS 18 EXPERT INSIGHT TOOLS TO UPGRADE 20 SUSTAINABILITY THE SHIFTING DYNAMICS 22 AI AHEAD OF THE CURVE 42 E-COMMERCE QUIQUP QUEST 46 AUTOMATION UNVEILING AUTOMATED LOGISTICS 48 TRUCKS ALLIED SUCCESS 50 TRENDS TOP 5 GAME-CHANGERS IN LOGISTICS TO WATCH WHEELS UNITED 22 46 30 LOGISTICS NEWS ME | JUNE 2024 | 3
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CONNECTING
PROFESSIONALS WITH INDUSTRY INTELLIGENCE 6 | LOGISTICS NEWS ME | JUNE 2024 WWW.CBNME.COM
TRADE
Anchors in the Storm: Celebrating the People Who Keep Us Steady
Navigating the vast ocean of work can often feel overwhelming, like being adrift without a clear direction. Amidst the waves of deadlines, meetings, and responsibilities, maintaining our sanity can seem monumental. Yet, there is always one person whose support becomes our anchor, holding our ship steady with their calmness.
For all, there is always a person who might be a trusted friend, a coworker who offers a helping hand and understanding ear, or a partner who stands by us through every high and low. Their presence brings a sense of balance, offering a safe harbour in the midst of chaos. They help us to see the bigger picture, to breathe a little easier, and to find joy even in the busiest of days. It's important to recognize and acknowledge the role they play in our lives, as they are the ones who truly understand and support us.
In this issue, I want to celebrate and thank those who balance our lives, helping us float through the ocean of work with grace and resilience. Their unwavering support lightens our burdens and enriches our experiences, making the challenges more bearable and the victories sweeter. Here's to the anchors in our lives whose calmness and support keep us afloat.
Take a moment to appreciate that person in your life. Your action, whether sending them a note of thanks or planning a small gesture of appreciation, can make a significant difference. After all, these relationships make our journeys worthwhile, and it's in our hands to nurture and cherish them.
Vibha Mehta Editor-in-Chief vibha@bncpublishing.net
Vibha Mehta
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EDITOR’S NOTE LNME
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Drive the new way.
New IVECO T-Way: high productivity and safety on off-road terrains
With a complete line-up of AWD and PWD versions and the the 16-speed HI-TRONIX automated gearbox, the IVECO T-Way features a host of functionalities such as Rocking Mode, Off-road Mode, Creeping Mode and 4 reverse gears to tackle with ease the toughest off-road conditions. The new architecture of the EBS system, combined with disc brakes on all wheels, greatly improves the vehicle’s performance and the driver’s safety in the most demanding applications.
New IVECO S-Way: high technology and efficiency for on-road missions
The new IVECO S-Way, with a completely redesigned and reinforced cab, offers a wide choice of Euro III/V diesel engines, a delivering class-leading power from 360 HP to 560 HP Euro III / 570 HP Euro V and superior fuel-saving devices, such as anti-idling feature, Ecoswitch, Ecoroll and Smart Alternator, 12-speed HI-TRONIX automated transmission with the most advanced technology in its category, electronic clutch and best-in-class torque-to-weight ratio.
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DHL EXPRESS INAUGURATES NEW AIRPORT GATEWAY & SERVICE CENTRE IN ABU DHABI
DHL Express’s this consolidated facility streamlines import, export, logistics, and regional distribution
DHL Express, the world’s leading logistics provider, has reinforced its role in the UAE with the grand opening of its advanced Airport Gateway & Service Centre at Zayed International Airport (AUH). Attended by VIPs and dignitaries, this $48.3 million, 15year investment boosts Abu Dhabi’s position as a global trade hub. The facility includes an Import & Export Gateway, Service Centre, Logistics Centre, and Road Network, staffed by 210 employees.
Nour Suliman, CEO of DHL Express MENA, highlighted this milestone as a testament to DHL’s commitment to the UAE and MENA region, aiming to enhance logistics and create economic opportunities. Wilson Chan, Senior VP of Freezone Cargo & Logistics at Abu Dhabi Airports, noted that the facility solidifies Abu Dhabi’s status as a crucial global logistics hub.
Spanning 20,000 square meters with significant expansion potential, the facility can serve over 500 customers
and process 3,600 shipments per hour. It features advanced X-ray screening, bonded storage, an automated sorting system, and meets TAPA freight security standards.
The center also includes a multilogistics fulfillment and storage area and serves as the main warehouse for DHL’s Middle East Road Network, connecting the UAE with the GCC and Levant countries. With rooftop solar panels and EV chargers,
the facility aligns with DHL’s ‘Mission2050: Zero Emissions’ goal.
Mahmood Hajj Hussein, Country Manager of DHL UAE, stated that this facility supports Abu Dhabi’s vision to become a leading trade hub, enhancing economic development. Strategically located, the DHL Express Airport Gateway & Service Centre is set to transform regional logistics, offering unmatched efficiency and sustainability.
REGIONAL NEWS LNME
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DUBAI SOUTH AND ALDAR ARE TEAMING UP TO CREATE A CUSTOM-BUILT FACILITY FOR KUEHNE+NAGEL
The facility is expected to be handed over to Kuehne+Nagel by Q2 2025
Dubai South, the largest single urban master development focusing on aviation, logistics, and real estate, and Aldar Properties (‘Aldar’), the leading real estate developer, investor, and manager in the UAE, will develop a build-to-suit facility for Kuehne+Nagel, one of the world’s leading logistics providers, at EZDubai, the fully dedicated e-commerce hub in Dubai South.
Located nearby and with direct access to Al Maktoum International Airport and Jebel Ali Port via a bounded logistics corridor, the logistics facility is being developed as part of the joint venture between Dubai South and Aldar to create Grade A logistics facilities at Dubai South’s Logistics District. The facility is expected to be handed over to Kuehne+Nagel by Q2 2025.
The facility, which spans 22,915 square metres, provides third-party logistics (3PL), e-commerce, and goods handling services and is designed to include office space, warehousing capabilities, and an amenities block.
The facility was meticulously designed to attain a LEED Silver certification, a testament to our commitment to sustainability. It incorporates efficient design and energy-saving elements. The building’s flooring will feature an innovative system utilising high-performance steel fibres, including those sourced from repurposed end-of-life tyre wire and cord, ensuring both strength and a significantly reduced carbon footprint.
The agreement was signed at Dubai South headquarters in the presence of Mohsen Ahmad, CEO of Logistics District, Dubai South, Jonathan Emery, CEO of Aldar Development, Lee I’Ons, GCC+ Managing Director at Kuehne+Nagel, as well as other senior executives from the three entities. Mohsen Ahmad, CEO of Logistics District, Dubai South, said: “We are pleased to sign this agreement with Kuehne+Nagel, who will benefit from our state-of-the-art infrastructure and customised advanced services to expand their presence and cater to the demand for logistics services regionally. Our partnership with Aldar is strategic, and we are committed to attracting the top players to contribute to the key priorities of the Dubai Economic Agenda ‘D33’- in establishing Dubai as one of the top five logistics hubs in the world.”
Jonathan Emery, Chief Executive Officer at Aldar Development, said: “The logistics sector represents a hugely promising opportunity for Aldar, and we are delighted with
the accelerated progress we are making in collaboration with Dubai South. Together, we are building scalable logistics facilities that respond to the UAE’s burgeoning demand for high-grade facilities from global firms such as Kuehne+Nagel. We continue to activate the initial AED 1 billion investment we committed to the sector and look forward to making further announcements this year.”
Lee I’Ons, GCC+ Managing Director at Kuehne+Nagel, said: “Kuehne+Nagel’s longstanding relationship with Dubai South and Aldar was pivotal in choosing the right partners to facilitate our expansion. Thanks to the strategic location of EZ Dubai, a carefully designed e-commerce zone by Dubai South, Aldar’s strong development capabilities, and Kuehne+Nagel’s global expertise in handling e-commerce, the new fulfilment centre will further strengthen our successful cooperation.”
Representing the epitome of logistical innovation encapsulated within a premier infrastructure network, Dubai South’s Logistics District offers premier services and operations and uninterrupted access to Jebel Ali Port via a bonded logistics corridor. The district comprises multiple zones, which have direct access to the cargo terminals at Al Maktoum International Airport, EZDubai, a fully dedicated e-commercefree zone, and a Contract Logistics Zone.
REGIONAL NEWS
LOGISTICS NEWS ME | JUNE 2024 | 13
EGIS AWARDED CONTRACT BY NATIONAL AUTHORITY FOR TUNNELS
The Egis project is set to become integrated into Egypt’s expansive 2,000km network
EEgis, a global leader in infrastructure engineering consulting and operations, is pleased to announce that the National Authority for Tunnels (NAT) has awarded it a contract to supervise two new electric highspeed rail (HSR) lines in Egypt. This project, undertaken in collaboration with SYSTRA as part of a consortium, will be part of the country’s 2,000 km network.
The consortium’s scope, which covers the Blue and Red Line, with a total of 1,325km and 39 stations, includes design coordination, project management, design review and construction supervision services, including the interfaces between
the different groups of work, to ensure that the project is completed on time, within cost, and with the highest standard of quality. Once complete, this state-of-the-art rail network will efficiently carry both passengers and freight linking Cairo to Abo Simbel through Luxor and Aswan for the Blue Line and Safaga to Qena for the Red Line.
The HSR line aligns with Egypt’s 2030 Vision, MISR2030, emphasising establishing a transport system integral to sustainable development. It also supports the nation’s future economic and social requirements and reinforces the role of transport at both regional and international levels.
National Authority of Tunnels commented: “We have full
confidence in Egis and SYSTRA’s collaboration on developing the High-Speed Rail line. This project is a transformative initiative for the country’s vision and will profoundly enhance the quality of life for our citizens.”
Egis has collaborated with NAT on various rail projects in Egypt, including notable work on Cairo Metro Lines 2, 3, and 6 and the Alexandria Tram.
“We are honoured to contribute to the realisation of Egypt’s 2030 vision ‘MISR2030’ through our involvement in this high-speed rail project for the National Authority for Tunnels in addition to the various projects in Egypt we are supporting across multiple disciplines,” said Mohammad Ben Messaoud, Country Managing Director, Egis in Egypt.
REGIONAL NEWS LNME
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GULF ISLAMIC INVESTMENTS AND LOGIPOINT SIGN $300 MILLION DEAL FOR LOGISTICS PLATFORM IN KSA
Gulf Islamic Investment teamed up with Logipoint to facilitate the stellar growth of the Saudi economy
Gulf Islamic Investments (GII) and Logipoint, a subsidiary of SISCO, have signed an agreement in Jeddah to create a joint venture for a logistics platform providing Grade A warehousing solutions across the Kingdom of Saudi Arabia in a deal worth over SAR 1 billion (approx. $300 million).
LogiPoint is a leading industrial and logistics real estate developer in Saudi Arabia, which invests, manages and operates bonded and non-bonded logistics parks and zones. The GIILogipoint joint venture will create new logistic infrastructure in key Saudi cities, starting in Riyadh and Jeddah, providing warehousing and handling facilities as the backbone of a multi-asset logistical network serving companies across the Kingdom.
This partnership is the second logistics deal in quick succession for GII, a leading Shari’ah-compliant global alternative investment company with over US$4.5 billion of assets under management (AUM). Earlier this month, Brookfield Asset Management acquired a majority stake in GII’s logistics business, which provides highend, long-term clients with bespoke warehousing solutions in the UAE.
GII’s logistics story began in December 2017 with the acquisition of a logistics fulfilment centre in Dortmund (Germany) with German logistics specialist GARBE Industrial, comprising one million square feet of space. The partnership sold the centre to an Asian investor in 2020, with an internal rate of return (IRR) of 18%. GII’s investment in GCC logistics assets has focused on
acquiring, aggregating, repurposing and developing facilities for leading companies, including facilities in Dubai for Hellman, CEVA, Sinotrans, Noon and other clients, often involving local partners.
Pankaj Gupta, GII’s Co-founder and Co-CEO, commented, “GII’s partnership with Logipoint extends GII’s logistic operations across Saudi Arabia to facilitate the rapid expansion of the Kingdom’s infrastructure, supporting its booming economy. It is a natural progression for GII after our recent transaction in which Brookfield acquired a majority stake in GII’s logistics assets in the UAE”. Mohammed Alhassan, GII’s other cofounder and co-CEO, continued, “Our logistics joint-venture with Logipoint
is the latest element of GII’s growth strategy within the Kingdom, which already includes a CMA banking licence for GII Saudi Arabia and the acquisition of Emad Bakeries in Jeddah within the last two months.”
Farooq Shaikh, CEO of LogiPoint, added, “This partnership with GII has opened up a new world of investment opportunities. We are committed to leveraging our expertise in developing logistics zones and parks to drive our expansion strategy. Our collaboration with GII reinforces our position as leaders in the logistics industry. LogiPoint is proud to be aligned with the Vision 2030 goals, playing a pivotal role in transforming the Kingdom of Saudi Arabia into a global logistics hub.”
REGIONAL NEWS
LOGISTICS NEWS ME | JUNE 2024 | 15
PIYUSH MALVIYA, Vice President and Head of Moglix, MEA
DELIVERY METAMORPHOSIS
How are innovations redefining last-mile delivery in an ever-evolving urban landscape?
Robust last-mile delivery processes are vital to logistics operations in an ever-evolving urban landscape. As the e-commerce sector continues its meteoric rise, consumers’ expectations for swift and efficient
delivery burgeons, underscoring last-mile logistics’ role in ensuring customer satisfaction and retention. Underpinned by technological advancements and strategic partnerships, the global logistics market is poised to raise USD 12,975.64 billion by 2027 as
leading players innovate solutions to tackle key growth deterrents. This optimistic outlook is further bolstered by the projection that the UAE Freight and Logistics Market, estimated at USD 20.11 billion in 2024, is set to attain USD 30.19 billion by 2030, growing at a CAGR of 7.01% between 2024 and 2030.
Ensuring supply-chain transparency and fulfilling consumer demands is vital to promoting the success of last-mile delivery operations. Companies are harnessing advanced technology to enhance the security and visibility of last-mile logistics operations to cater to rising consumer concerns regarding product origin and journey. For instance, blockchain technology provides records of transactions and real-time updates on the movement of goods and ensures security by using a decentralised ledger system. Blockchain-powered smart contracts help expedite approval and clearance processes while reducing the processing time required at checkpoints. Integrating advanced technologies allows brands to foster consumer trust and streamlines overall operational efficiency.
The advent of the Internet of Things (IoT) has ushered in many innovations across critical logistics operations, facilitating real-time tracking, monitoring of product conditions in transit, and seamless fleet management. Moreover, IoT integration in operational systems has bolstered supply chain interconnectedness and transparency. IoT can also aid in inventory management by using sensors that track stock levels, temperature levels and product expiration. Integrating sensors that can detect product damage, theft, or unauthorised tampering promises to ameliorate consumer concerns regarding the safety of delivery operations.
Robotics and Automated Guided
LNME OPINION
Originally written by Piyush Malviya.
Edited by Vibha Mehta
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Vehicles (AGVs) are vital in mitigating human error and streamlining operations within warehouses and distribution centres. The extensive application of drone technology for delivery services in Dubai exemplifies how automation can enhance efficiency and precision in last-mile logistics operations. In the MENA region, drones expedite last-mile delivery processes by circumventing heavy traffic congestion. Similarly, drones are poised to pioneer the delivery of medical aid and critical supplies in remote areas without access to modern healthcare facilities. Moreover, electric drone deliveries are a sustainable alternative to traditional delivery methods that
result in excessive carbon emissions, contributing to air pollution.
Logistics operators can optimise inventory levels and anticipate future trends by harnessing the predictive capabilities of data analytics and Machine Learning (ML) algorithms powered by Artificial Intelligence (AI). This will aid in reducing stockouts and excess inventory to nurture operational efficiency and enhance customer satisfaction by facilitating timely delivery. ML algorithms can also monitor warehouse equipment and delivery vehicles, providing maintenance alerts based on usage. ML can be utilised at warehouses to enhance product placement
and collection strategies, reducing fulfilment time. Such predictive strategies might hold the key to finding success in the modern logistics landscape, which is highly dynamic and unpredictable. As per a report by McKinsey, AI integration into supply chain management systems has aided in cutting down logistics costs by 15 per cent while enhancing service efficiency by 65 per cent.
A new trend transforming the urban logistics landscape of MENA is collaborative logistics, which aims to convene relevant industry stakeholders. Collaborative logistics platforms unite logistics providers, retailers, and manufacturers to
enhance business-tobusiness (B2B) delivery networks. This collective action is crucial in tackling key last-mile operation challenges such as space limitations and the complexity of delivery routes. By pooling collective resources, optimising delivery routes, and sharing vital infrastructure, key players can reduce transport costs and carbon footprint and facilitate innovation and knowledge exchange, ushering in ubiquitous development across all supply chain processes.
As the urban landscape continues to undergo an unprecedented transformation led by evolving consumer demands and technological advancements, businesses must take the lead in adopting supply chain transparency, predictive analysis, supplier integration, and collaborative logistics platforms. These strategies will not only position businesses for sustained success but also empower them to navigate the complex urban landscape seamlessly. All relevant stakeholders, companies , and consumers should convene to overcome supply chain challenges collectively and develop new and unique methods to enhance lastmile logistics operations. Through a collaborative approach, an urban logistics ecosystem marked by efficiency, sustainability and adaptability can be fostered to cater to the ever-changing demands of the modern world.
DELIVERY METAMORPHOSIS
LOGISTICS NEWS ME | JUNE 2024 | 17
TOOLS TO UPGRADE
How advanced GIS tools are revolutionizing e-commerce and retail supply chains in the GCC?
In the booming sectors of e-commerce and retail, the efficiency of the supply chain is a logistical necessity that brings a competitive advantage. Being the backbone of every organization, the supply chain encompasses sourcing, manufacturing, storage, and delivery of goods — each step is vital for operational success. The industries are rapidly advancing — by 2025, the total e-commerce revenue in the GCC is forecasted to reach US$50 billion, while by 2026, retail sales in the UAE alone are expected to reach approximately US$114 billion.
Challenges often arise due to the different elements managed by various stakeholders, leading to inefficiencies that can increase costs and reduce profitability. Therefore, optimizing the supply chain is imperative, aiming to boost productivity, reduce expenses, and enhance customer satisfaction.
Supply chain optimization leverages strategic planning to achieve peak performance, ensuring products reach customers swiftly and cost-effectively while
maximizing company profits. This process requires a nuanced balance across manufacturing, inventory, transportation, order fulfilment and customer service, directly impacting financial outcomes and customer experiences. Businesses can significantly improve their service offerings by reducing shipping times and operational costs, thereby increasing revenue and fostering customer loyalty.
Advanced mapping solutions and location intelligence are crucial to these optimization efforts. With the GCC’s geographic information system (GIS) market projected to grow at a CAGR of 15.1% through 2028, significantly outpacing the global rate of 12.6%, businesses in the region must adapt to unique landscape and infrastructural challenges. These tools are indispensable for enhancing operational precision and agility in the logistics industry. Interactive maps, geocoding services, and routing algorithms allow businesses to make their locations stand out on the map, define delivery zones, streamline address verification, calculate delivery costs accurately, and develop
LNME EXPERT INSIGHT
Originally written by Sabina Mirza-Akhmedova.
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Edited by Vibha Mehta
SABINA MIRZA-AKHMEDOVA, Chief Executive Officer at Mappable
optimal transportation routes. These technologies harness data to predict travel times, manage traffic conditions, and even account for weather impacts, ensuring that logistical decisions are both strategic and adaptive. By integrating these advanced mapping solutions, companies can transform their supply chain operations into a streamlined, customer-focused powerhouse that meets and exceeds modern market demands.
Mapping solutions can also help e-commerce and retail businesses build an effective order and delivery cycle, from quick address entry on the website to optimal route planning for couriers.
Increase online checkout conversion
Interactive, customizable maps can show the location of stores and pick uppick-uppickup points while hiding other companies’ or your competitors’ locations so they don’t distract customers. The map loads quickly in all browsers and mobile applications on different platforms. It can be customized—branded or styled—to match your website or app design.
Companies can use a Places Search API (application programming interface) so that customers can easily filter stores, warehouses, and pickup points by relevant parameters and locations. This will make interacting with the website or
app more convenient, increase conversion rates and boost the likelihood of repeat business.
Address auto-complete and geocoding features allow customers to easily and quickly enter addresses at checkout, increasing the number of completed orders. It also helps to reduce the number of delivery errors. Especially if you simultaneously show the delivery location on the map — that’s where Neurogeocoder API and Geosuggest API come in.
Help
logistics professionals
According to Pitney Bowes Business Insights, 80% of enterprise data is linked to location. Advanced geocoding and mapping tools will help the company’s employees to enter data quickly and correctly onto their website, CRM, or app, ensuring faster and error-free operations. The logistics team will no longer need to double-check delivery times before sending a courier. All routes are precisely planned, as the API will consider the traffic forecast at the scheduled departure. With this, businesses can also optimize fleet utilization and minimize downtime.
Marking out delivery zones will help companies determine delivery costs in specific areas and quickly define the best delivery method—by bike, car, or courier on foot—to make deliveries as fast and efficient as possible.
Delivering orders to the customer
A good delivery service directly impacts customer loyalty and repeat order rates. Reducing courier holdups and making the delivery process more transparent to customers can improve these metrics.
Integrating geospatial and navigation APIs into the delivery system can help couriers deliver more orders on time. Send them step-by-step routes, showing in what order to visit the points and where the required entrance to the building is located. This will help couriers navigate unfamiliar areas faster and find addresses without unnecessary calls to the operator.
Customers need to see the live location of their order and know its delivery time. This adds transparency to the delivery process and allows customers to plan their daily routine without additional worries. With APIs from solution providers like Mappable, businesses can show the delivery of each order directly on the map and accurately predict the arrival time. This will not only increase customer satisfaction but also reduce the load on the call centre.
The GIS industry continues to evolve in new and exciting ways in the UAE for e-commerce, retail, and beyond. Industry players must now invest in advanced mapping tools to achieve supply chain optimization and gain a competitive advantage.
TOOLS TO UPGRADE
LOGISTICS NEWS ME | JUNE 2024 | 19
As we commemorate World Environment Day, it’s essential to recognise the pivotal moment at which the global logistics industry finds itself. The growing demand for efficient and seamless supply chains collides with the pressing need for sustainability. Environmental concerns have taken centre stage, driving logistics toward sustainable practices and technologies. This transformation is not merely a moral imperative but a strategic necessity for businesses aiming to maintain their competitive edge in a rapidly evolving world.
The stakes are high - a European Environment Agency study warns that the logistics sector could be responsible for up to 40% of global carbon dioxide emissions by 2050 if adequate measures are not implemented. Forwardlooking logistics companies are consequently increasingly focusing on sustainability, taking concrete steps to minimise the environmental impact of their operations. These initiatives include carbon offsetting, optimising transport routes to reduce emissions, and transitioning to electric vehicles. Changing consumer attitudes drive this shift, as evidenced by a Bain survey that found consumers are willing to pay a 12% premium for sustainable products.
Contrary to the widespread belief that sustainable and inclusive growth requires sacrificing revenue and profit, a McKinsey analysis suggests that financially successful companies that integrate environmental, social, and corporate governance (ESG) priorities into their growth strategies outperform their peers. The report reveals that these companies generate up to 7 percentage points in additional
THE SHIFTING DYNAMICS
The future of logistics: sustainable, efficient, and powered by technology
annual total shareholder return (TSR) compared to their peers. This finding underscores that a solid commitment to ESG creates additional shareholder value for companies, making sustainability a smart business strategy.
The logistics industry already possesses inherent strengths to
lead the renewable energy pushexpansive real estate and expertise in managing complex interwoven systems. Warehouse rooftop space can be utilised for utility-scale PV solar installations, while greenery can cover the grounds.
With this trend, GMG is setting new benchmarks for sustainable
LNME SUSTAINABILITY
Originally written by Sabina Mirza-Akhmedova.
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Edited by Vibha Mehta
supply chains through its logistics division, Trilogi. Its investment in renewable energy solutions in warehouses and distribution centres, such as rooftop solar installations, significantly reduces its logistics carbon footprint and proves green energy’s feasibility in the supply chain sector. For example, the company has installed a 3,515 kWp rooftop solar installation at its Mega Distribution Center in the Jebel Ali Free Zone. This project offsets over 80% of the warehouse’s power consumption and reduces CO2 emissions by around 70,000 tons.
GMG followed that with a company-wide effort to plant the culturally significant Ghaf tree at the same site and the installation of an advanced wastewater treatment system. With a capacity of 16,000 gallons, this system effectively treats 12,000 gallons of wastewater, reflecting a strong commitment to water resource management.
Technology supercharges sustainability
The industry has an unmistakable excitement over the latest artificial intelligence advances. AI is a game-changer in the logistics sector, offering immense potential for optimising supply chain processes, reducing waste, and minimising environmental impact. Advanced algorithms can leverage the vast amounts of data retail operations produce to forecast demand with unparalleled accuracy, enabling logistics providers to optimise inventory levels and reduce overstocking, contributing to unnecessary energy consumption and waste. Furthermore, AI-driven route optimisation minimises fuel consumption and emissions by identifying the most efficient transportation routes and consolidating shipments. As AI continues to evolve, its potential to revolutionise sustainable logistics grows exponentially, making it an indispensable tool for companies seeking to reduce their carbon footprint.
Second, the vision of fully autonomous warehouses is within reach. Such facilities leverage advanced robotics, automated storage and retrieval systems (ASRS), and intelligent conveyor networks to reduce energy consumption and minimise waste significantly. Automated systems optimise storage space utilisation, reducing the need for expansive, energy-intensive facilities. Automated warehouses can even operate in the dark, further reducing energy usage. They also contribute to a more sustainable logistics ecosystem by streamlining processes and minimising human error, setting the stage for a greener future.
Third, autonomous delivery vehicles hold immense promise for sustainable logistics, offering a path toward zero-emission transportation. As self-driving technology advances, logistics providers are exploring the potential of electric, autonomous vehicles to revolutionise last-mile delivery. These vehicles optimise real-time routes, reducing fuel consumption and emissions while improving delivery
GILBERT ABI ZEID, Vice President – Logistics, GMG
efficiency. They also can operate 24/7, maximising asset utilisation and reducing the need for additional vehicles on the road.
In a significant development, Dubai’s Roads and Transport Authority (RTA) announced the pilot launch of autonomous food delivery robots at Dubai Silicon Oasis last year. This initiative highlights the growing importance of autonomous delivery solutions in the logistics industry and their potential to reduce emissions and improve efficiency in last-mile delivery.
As the world grapples with the urgent need to combat climate change and build a more resilient future, the logistics industry has a unique opportunity to lead the way. By embracing sustainable practices and technologies, logistics providers can reduce their environmental footprint and drive innovation, efficiency, and long-term growth. The sustainable logistics revolution is no longer a distant vision; it is a present reality, and the companies that embrace it will shape the future of the industry and our planet. As consumer demand for sustainable products and services continues to grow, logistics companies prioritising sustainability will be well-positioned to meet the evolving needs of their customers and contribute to a greener, more sustainable future for all.
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AHEAD OF THE CURVE
Abdulla Al Shamsi, COO at Bayanat, discusses the role of Bayanat amidst uncertainties in the logistics industry
Over the past few years, the logistics sector in the region has undergone a significant transformation, primarily driven by infrastructure development, technological advancements, and regulatory reforms.
The UAE has invested heavily in ports, airports, and rail and road networks, positioning the country as a pivotal logistics hub. Facilities like the Jebel Ali Port and Khalifa Port are prime examples of the great strides made over the past few years.
As part of the UAE’s AI Strategy 2031 objectives, the country is making steady strides towards transforming the economy into an innovative, AI-driven ecosystem. Integrating advanced technologies such as AI, IoT, and blockchain into the UAE’s logistics functions has enhanced operational efficiency and solidified the country’s position as a logistics powerhouse.
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Bayanat
Bayanat is an AI-powered geospatial analytics company that was established nearly 50 years ago. The data it collects is used to inform world-class solutions for a growing number of use cases, including mobility, energy and resource tracking, business decisions, smart mobility, environmental monitoring, and disaster preparedness and response.
An example of this includes cargo and shipping tracking. Ships can be equipped with satellite-enabled IoT devices that track a ship’s location, the cargo it carries, how far it has traveled, and how much fuel it uses. The data collected helps ship operators calculate the most efficient route from port to port, considering weather conditions based on meteorological data. This can
maximize vessel cargo capacity while generating savings in fuel consumption and reducing emissions and time at sea.
The gIQ platform
The analytics produced are powered by the company’s AI-driven multiintelligence platform, gIQ. This platform captures comprehensive data that assists with decision-making, enhances situational awareness, and improves operational efficiency. The platform’s key feature is its ability to process data from multiple sources including earth observation satellites, IoT, weather sensors, etc. to provide context and geographically aware analytics. The solutions identified can be applied across governmental and government-affiliated industries and private entities.
The platform is a game-changer for the industry. It combines geospatial data from multiple sources and enables development of advanced AI algorithms in a no-code environment. This will offer customers unique and comprehensive insights which will assist them in making informed and strategic decisions. With the amount of data available, it is difficult to synthesize what is important and what is not, and the platform can highlight significant data.
Progress
Global logistics coordination and the movement of goods around the world face many complexities. These are often heightened due to economic uncertainties, fluctuating market conditions, and geopolitical tensions.
While challenges have tested the resilience
of supply chains, they have also unlocked an opportunity to drive digital transformation. Supply chain disruptions can result from a lack of visibility, which often leads to operational inefficiencies.
Logistics companies and distribution leaders are now adopting solutions that rely on geographic information systems (GIS) and geospatial intelligence. This move still demands significant investments in innovative technologies and workforce upskilling to keep up with the sector’s evolving operations.
Companies are under pressure to find innovative ways to remain competitive, and they can do this by integrating AI and emerging technologies. There are opportunities to integrate technological advancements into improving business strategies and remaining competitive. Bayanat’s gIQ platform has been disruptive in the way it addresses many of the challenges associated with logistics and therefore can fill some of the gaps.
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ABDULLA AL SHAMSI, COO at Bayanat
Instability
Geopolitical tensions and rising food and transport costs are forcing companies to restructure the supply chain to reduce costs and the risk of disruptions.
The Economist’s 2024 Trade in Transition Report highlights the escalating global tensions and emerging trade rivalries set to hinder global economic growth marginally. The report also indicates that global GDP could substantially decline if trade blocks impose heightened barriers.
This is why companies and traders are currently looking for better integration of advanced geospatial solutions, AI, and technologies to monitor and detect geopolitical events that may disrupt supply chains.
Integrating satellite imagery and data into operations can allow logistics companies and commodity traders to make more informed decisions. By combining historical geospatial data with machine learning algorithms, companies can predict future traffic patterns and adjust routes and delivery schedules to minimize potential delays.
Environmental Responsibility
Bayanat’s commitment to sustainability is woven into the very fabric of its operations, guiding its efforts to deliver
sustainable technologies and solutions across a broad spectrum of sectors, including mobility, energy, marine, and space.
The company leverages its state-of-the-art mapping and monitoring solutions to address climate change on all terrains - land, air, and sea. The algorithms can process large volumes of data from satellites, underwater video streams, and weather simulations. Some of Bayanat’s sustainable initiatives include:
eDNA sequencing: Bayanat and EAD (Environment Agency Abu Dhabi) joined forces with the M42 Environmental Sciences Team, part of M42 Health, for a pioneering study on eDNA sequencing aboard Jaywun. The partnership embarked on the first large-scale genome sequencing project in the marine water of the UAE. The project’s objective is to understand the biodiversity of the UAE’s waters. By understanding spatial relations between biological data and other geospatial data, we are developing an understanding of the factors affecting marine biodiversity.
Understanding the world’s oceans through water sample collection at the Golden Globe Race: In 2022, Bayanat sponsored retired Indian Navy Officer Commander Abhilash Tomy during the Golden Globe Race (GGR), one of the world’s most challenging sailing races. Leveraging this voyage around the globe, Bayanat conducted various scientific studies using remote sensing technology, including its Marine Exploration Program and Water Samples Collection. Based on the research and preliminary results, microplastics were found in very remote corners of the world’s oceans, proving that human impacts from the coast are carried further than previously predicted.
Working with the UAE Space Agency to monitor the impact of climate change: Following the recent storm in the UAE, Bayanat, with the support of the UAE Space Agency, collected data from multiple providers to understand the extent of the storm’s impacts. Using the advantages of SAR (Synthetic Aperture Radar) data, we could monitor the storm as it unfolded.
Tomorrow’s Path
The future of logistics will be primarily defined by digitization and the integration of AI and advanced tech to streamline operations and provide real-time data to inform decisionmaking.
There will be a huge focus on resilience and future-proofing businesses to be agile and adapt to evolving needs.
Bayanat therefore is acting on the opportunity to transform supply chains into more efficient, sustainable, and adaptable sectors that can keep up with changing global demands by leveraging our geospatial and AI solutions.
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BEYOND BOUNDARIES
In a DP World GCC interview, CEO Abdulla Bin Damithan discusses the company’s expansion in the UAE and KSA, digital shifts, and eco-focus…
Abdulla Bin Damithan, the CEO and Managing Director of DP World GCC, is at the helm of one of the region’s most influential maritime logistics companies. His visionary leadership is the driving force behind the company’s expansive growth strategies, which have significantly expanded its reach across the UAE and Saudi Arabia. His strategic decisions, guided by a commitment to integrate cutting-edge digital technologies, are transforming operations, making them more efficient and responsive.
Under the guidance of Abdulla Bin Damithan, DP World has embraced a strong environmental ethos, making sustainability a cornerstone of its business practices. This unwavering
commitment not only underscores the company’s environmental responsibility but also reassures stakeholders of its long-term viability. Abdulla’s strategic acumen and forward-thinking leadership are instrumental in steering DP World through the complex waters of global trade and innovation.
In what way would you describe the GCC’s trade and logistics sector right now? Which opportunities and difficulties do you foresee as the most pressing shortly?
The trade and logistics sector in the GCC continues to be resilient. The World Trade Organisation expects the Middle East’s export volume to grow at 3.8% in 2024, and the logistics market in the UAE is projected to be worth more than $31 billion by 2026. This aligns with trends in DP World’s
2024 Trade in Transition survey, which found that 57% of business executives in the UAE and Saudi Arabia expect double-digit growth in exports in 2024, while 40% expect the same for imports.
The past two decades have seen significant transformation in the GCC underpinned by economic diversification and major infrastructure projects under national visions such as the UAE’s Operation 300bn and Saudi Vision 2030. Continued development of the digital economy, green investments and structural reforms are shaping a promising future for the sector.
We believe that innovation and technology, particularly digital solutions, are integral to adopting in the sector as we navigate economic fluctuations and a fast-evolving global trade landscape. As the region continues to accelerate its sectoral capabilities, we need to ensure that we have sufficient production capacities, standardisation, power supplies, and skilled workers.
What effects have the pandemic and the geopolitical environment had on the local industry?
The uncertainties and unpredictability of global trade have reinstated the importance of incorporating a sustainable and resilient supply chain strategy to ensure long-term viability. DP World’s role is to keep supply chains open and trade flowing, regardless of external challenges. By diversifying our trade routes and connections, we ensure our ability to withstand market fluctuations, ensuring faster, more efficient and sustainable cargo movement, thereby instilling a sense of security in our stakeholders.
What are DP World’s principal growth engines in the GCC?
Jebel Ali Port and Jafza are the foundations for DP World’s global network. We have rapidly evolved from world-class port operations to
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providing logistics solutions across the end-to-end supply chain. Jebel Ali Port has now been ranked as the 10th busiest container port in the world based on container throughput for 2023, and Jafza is home to a thriving community of more than 10,000 businesses, giving us a world-class integrated platform for trade.
DP World’s growth strategy is closely aligned with that of the UAE. Jebel Ali and Jafza are at the juncture of crucial trade routes to Europe, the Far East and high-growth markets like India, Africa, and beyond. The government’s Comprehensive Economic Partnership Agreements (CEPA) with India, Indonesia, Cambodia, Georgia, Turkey, and now South Korea (with around 20 more planned) have opened significant access to new markets for the UAE and for DP World, which will drive the growth of bilateral trade.
What specific expansion plans does DP World have for significant nations like KSA and UAE?
DP World’s expansion plans are not just about growing our operations,
but about driving constant innovation across the entire supply chain. Our aim is to provide world-class logistics solutions critical for global supply chains, from port facilities to shipping logistics and multimodal integrated transport solutions. Our business-friendly policies and regulatory ease, combined with our innovative approach, empower businesses to expand globally, thereby significantly impacting the GCC’s trade and logistics sector.
In February this year, we unveiled plans for Bharat Mart, a Dubai marketplace set to open in 2026 that will offer a world-class trading platform for Indian manufacturers and exporters to access global markets.
The UAE and India have set the target of reaching $100 billion in non-oil bilateral trade by 2030, and Bharat Mart will support this goal by creating opportunities for Indian manufacturers and contributing to government initiatives such as Make in India and D33. Spanning an area of 1.3 million square feet, Bharat Mart is set to become a central distribution hub for Indian businesses to trade domestically in the UAE and re-export to regional and global markets.
We recently also completed the Mina Al Hamriya expansion project, which added 1,150 metres of quay wall and increased the berthing capacity for various vessels, from traditional dhows to modern breakbulk carriers and RoRo ships. This expansion extends the port’s quay to 3,140 metres and adds five new berths, bringing the total to 14. Along with the quay extension, comprehensive dredging works were undertaken, deepening the draft to 8.5 metres to accommodate larger vessels and handle a greater cargo volume,
increasing efficiency and throughput. Overall, this project significantly enhances Dubai’s port operational capacity, reinforcing its status as a key trade hub for the Gulf region, East Africa, and India.
In addition, we are continuing to expand our operations in Saudi Arabia. We currently operate the South Container Terminal at Jeddah Islamic Port, which was our first concession in 1999. Jeddah is a crucial link in the world’s busy east-west trade routes, and we remain committed to enabling Jeddah to become a modern, global logistics centre that will help achieve the goals of Vision 2030.
To expand our logistics capabilities in Jeddah, we have begun the construction of a new $250 million logistics park at Jeddah Islamic Port, set to provide state-of-the-art storage and distribution facilities and boost trade in the Kingdom of Saudi Arabia and the wider region. At 415,000 sqm, it will be the largest integrated facility in the Kingdom, providing bonded and unbonded zones and world-class temperature-controlled solutions. It will also connect to our port facilities, which are currently undergoing an $800 million modernisation project, set to be completed by Q4 2024, as part of which the capacity will be ramped up to 5 million TEUs.
What steps is DP World taking to address capacity issues at important GCC ports?
We are expanding our infrastructure, investing in technologies to improve operational efficiencies and employing automation to ensure secure, efficient and swift cargo transitions.
In Jebel Ali, for instance, we have developed BoxBay, an intelligent High Bay Storage system that aims to change how containers are handled in ports with thoughtful innovation. With disruptive technology, the design and rack structure of BoxBay creates
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ABDULLA BIN DAMITHAN, CEO and MD of DP World GCC
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unique advantages, with containers stored up to eleven stories high, delivering the capacity of a conventional terminal in a third of the surface area. Scalable to any location and fully automated with direct access to each container, BoxBay enables significant gains in handling speed, energy efficiency, safety and a substantial reduction in operating costs.
How is DP World coordinating its activities with the GCC countries’ sustainability objectives?
DP World is committed to changing what is possible by creating a positive economic and social impact wherever we work. Our commitments will positively impact the trade now and for generations to come, leading the trade to a more sustainable future.
The national visions across the GCC strongly emphasize sustainability, making it a core objective in strategic planning as we work toward our ambitions for a net-zero future. In 2023, DP World and the International Renewable Energy Agency (IRENA) partnered to accelerate the use of renewable energy and cut emissions from the ports and maritime logistics sector.
Progress is already being made. Our global carbon emissions were down by 5% in 2022, with a 4% reduction in energy consumption. Carbon emissions from our UAE operations were cut by nearly 50% last year by accessing renewable power through DEWA. This is on top of our 158,000 solar rooftop panel installations in the UAE – the most significant distributed solar project in the Middle East.
Another factor that we need to consider is the positive effect of digitalisation, not only on improving the efficiency of trade but also on reducing emissions. Dubai Trade, the digital trade arm of DP World in the GCC and the leading single window for trade and logistics in Dubai, has successfully crossed 300 million transactions since its inception, eliminating approximately 617 million printed documents and saving 25,400 metric tons of CO2 emissions.
What could megaprojects mean for the future of logistics in the GCC?
Futuristic multipurpose giga projects prove endless possibilities for megastructures and infrastructural development initiatives. Smart-city projects are today’s breakthrough in science and engineering technologies built on proximity, density, diversity, mobility, and sustainability. Such projects have the potential to be critical enablers of the region’s economic growth, providing faster connectivity to local and global markets, strengthened by its strategic location. There is an opportunity to create new models in supply chains through fully integrated port, logistics centre and rail delivery operations in a single facility, much like our integrated platform in Jebel Ali.
By broadening the economic base, these giga projects create new business opportunities and attract foreign investment. Economic growth stimulates demand for logistics services across various sectors, including technology, tourism, and renewable energy, expanding the logistics provider market. The development of new, direct routes can reduce transportation times, and new infrastructure supporting the increase in capacity for handling cargo can improve trade flows both within the GCC and with global markets.
In what ways is DP World getting ready for the possible effects of autonomous vehicles on the transportation industry?
In recent weeks, we signed an agreement with Einride to deploy the most significant freight mobility solution in the Middle East at Jebel Ali Port. The project will electrify inter-terminal container flows at the port through a fleet of 100 electric, connected trucks, supported by charging infrastructure and managed through a software platform that will analyse, optimise and maximise the efficiency of electric and autonomous road freight operations. We have already made significant progress in electrifying and automating our terminals at Jebel Ali Port, and by leveraging Einride’s cuttingedge technology, we can take that to the next level.
As a trade enabler, technology has powered and underpinned our capabilities as an essential economic service, with digital technology continuing to drive smart trade for the region and beyond. The opportunities are endless, and we are excited to explore the possibilities for efficient and economical automation as we create a better future for all.
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WHEELS UNITED
Al Masaood and Dongfeng – A New Chapter in the UAE’s Commercial Vehicle Industry
Al Masaood and Dongfeng – A New Chapter in the UAE’s Commercial Vehicle Industry
Al Masaood Group, renowned for its commitment to innovation and quality, recently announced its partnership as the exclusive distributor of Dongfeng Commercial Vehicles in the UAE. This partnership not only brings a new spectrum of vehicles that address the growing demand for advanced,
versatile commercial vehicles in the region, but also a commitment to providing excellent after-sales service and support. By entering this partnership with the premier Chinese brand, Dongfeng, we are able to provide our customers with a wider range of reliable and efficient vehicles and ensure that they receive the support they need to keep their vehicles running smoothly.
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Light Duty Vehicles: Versatile and Technologically Advanced
The Captain Series and Dollicar Series
The Captain Series and Dollicar Series trucks cater to light-duty needs and are equipped with international and Chinese-brand powertrain systems. These models provide significant power outputs, making them suitable for various demanding applications. They also feature advanced safety systems, comfortable interiors, and flexible cargo solutions, making them ideal for businesses in need of reliable and efficient vehicles.
Dongfeng Captain C-Series (CA94-301):
This model features a CUMMINS ISF3.8S4R154 engine, which is a 4-stroke, 4-cylinder in-line configuration with a turbo intercooler, providing a rated power of 115Kw (154HP) at 2600 RPM and a maximum torque of 500N.m between 1200-1900 RPM. It utilizes an EATON 6-speed manual transmission with a Euro IV emission level. The vehicle dimensions are 6995mm long,
2230mm wide, and 2350mm high. It includes safety features such as ABS, driver safety belt reminders, front safety belts, and remote central locking, complemented by a well-appointed interior with features like hydraulic power steering, an adjustable driver seat, and air conditioning.
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Al Masaood CV&E has partnered with Dongfeng to bring high-quality commercial and passenger vehicles to customers in the UAE
Equipped with a YUCHAI YC4S150-48 engine and a 4-stroke, 4-cylinder in-line turbo intercooler, this model delivers a rated power of 110Kw (150HP) at 2800 RPM and the exact torque specifications as the Captain C-Series. It features a WLY 6-speed manual transmission and similar dimensions and cargo box size to the Captain C-Series. The Dollicar C-Series shares the same safety and interior amenities as the Captain, ensuring comfort and functionality.
Both models are designed with 2WD drivetrain configurations and feature drum brakes on both front and rear, tubeless tyres sized 215/75R17.5, and various convenience features, including power door windows, adjustable headlights, fog lamps, and daytime running lights. The durable exteriors and flexible cargo solutions make these trucks ideal for various business needs, from freight and logistics to more specialized commercial activities.
Thanks to their strong build and diverse specifications, the Captain Series and Dollicar Series are particularly suitable for businesses looking for reliable and efficient vehicles to handle various terrains and cargo needs. Their advanced safety features and comfortable interiors make them an excellent choice for enterprises prioritizing crew welfare and operational efficiency. Whether it’s for freight and logistics or more specialized commercial activities, these vehicles can adapt to a wide range of business needs.
The Dongfeng A08 Passenger & Cargo Van
Regarding light-duty vehicles, the Dongfeng Passenger & Cargo Van emerges as a stellar choice. This model features a maximum power of 100KW (134 HP) and torque of 350N·m from its M9T-601 engine, wrapped in a long-axis high roof design. It offers unmatched
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Dongfeng Dollicar C-Series (CE93-301):
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comfort and convenience with seating for up to 15, a fuel tank capacity of 80L, and amenities like a 12.3-inch MP5+GPS+reversing display.
The Dongfeng A08 stands out with its strong configuration, featuring 15 seats, including the driver, powered by an M9T-601 diesel engine and delivering 134HP with a torque of 350Nm. It is equipped with front and rear disc brakes, an Anti-lock Braking System (ABS), Electronic Brakeforce Distribution (EBD), and a comprehensive suite of features including LED headlights, fog lights, and a reverse parking camera. It
offers manual and automatic 6-speed transmissions and has a fuel capacity of 80 litres. The external dimensions stand at 5750mm by 2036mm by
2590mm, with a cargo volume of 12 cubic meters. An independent system with McPherson manages suspension at the front and Hodgkis at the rear. Notable amenities include LED headlights, a multi-function steering wheel, a 12.3-inch MP5+GPS+radio unit, and comprehensive parking assist systems.
It targets markets that require reliable and spacious vans for cargo and passenger transport. Its leather seating and ample space make it a premium choice for tourist shuttles, while its robust safety features suit it for school buses or employee transport in urban areas. The A08 can adapt from light commercial duties like those for SMEs involved in intra-city transport of goods to more demanding passenger services, making it an asset for a wide range of businesses.
1 Ton Double Cabin Pickup P16: Designed for Diversity
Dongfeng offers a range of Double Cabin pickup with the P16 Gasoline 4x2 and 4x4 versions for those needing a smaller but equally sturdy option. These trucks feature vehicle sizes of 5330x1870x1844 mm and a rear bed size of 1575x1610x530 mm. With a wheelbase of 3100 mm and a curb weight ranging from 1881 to 1950 kg, they offer ample payload support. The Gasoline counterparts are equipped
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with engines outputting 160kW (215 HP) /330Nm for the 4x2 and 4x4, complying with Euro VI emission standards. These models are front-wheel-drive or four-wheel-drive, with a 6-speed automatic transmission and front plate rear drum brakes. The P16 Gasoline 4x4 distinguishes itself with double wishbone coil spring front suspension, leaf spring rear suspension, and hydraulic power steering. All models are fitted with 245/70R17 tyres. Additionally, safety and comfort are not compromised, as evidenced by optional ESC, driver and passenger airbags (vary with the emission standard version), child safety locks, and parking radars. Each truck has a leather multi-function steering wheel, electronic windows, air conditioning, a 9-inch display, mobile phone connectivity, GPS navigation, and a Bluetooth system.
These double-cabin pickups are engineered for versatility and can support personal and commercial needs, including lightduty transportation and off-road applications. The wide range of specifications allows potential owners to select the ideal balance of power, fuel type, and drive configuration for their specific requirements, whether for work or leisure.
EV400: DrivingTowards a Greener Future
Both Al Masaood and Dongfeng Motor are dedicated to offering sustainable and energyefficient options. As part of this commitment, we are introducing the Dongfeng EV 400, an electric truck featuring a permanent magnet synchronous motor that outputs 120 kW peak power and 320 N.m peak torque. This model offers fast charging capabilities,
a 12 V battery system with a 100-ah capacity, and can reach a maximum speed of 90 km/h. It’s a testament to our efforts to drive towards a greener future and provide our customers with environmentally friendly solutions for their logistics needs.
With a growing global emphasis on sustainability, the Dongfeng EV 400 electric truck caters to urban delivery services looking to reduce carbon footprints. It is ideal for businesses focusing on green logistics within cities.
The efficient design and battery capacity make it suitable for various commercial activities that prioritize environmental considerations.
Al Masaood and Dongfeng are setting new standards in the regional trucking market with their latest offerings. From light-duty vehicles suitable for small businesses to forward-thinking electric vehicles, this range caters to the diverse needs of modern companies and contributes to the region’s transportation landscape.
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INDUSTRY SYNC
Navin Narayan, CEO of the Acme Group reflects on the company’s technological and sustainable advancement in the logistics sphere
With over 22 years of experience in the UAE, Navin Narayan helms Acme Group, evolving it from its 1975 roots in hardware trading to a leader in
industrial automation. In 2018, he launched Acme Intralog FZCO to deliver intralogistics solutions across various sectors, including food and beverage. Committed to innovation, Navin established an R&D facility in
Jebel Ali to tailor advanced solutions to client needs, underscoring Acme’s dedication to client satisfaction and technological advancement. He aims to enhance industry efficiency and reduce workforce dependency through a team skilled in industry 4.0 technologies such as robotics and automated systems.
Expanding beyond the GCC, Navin has also introduced Acme’s innovative solutions to Central Europe, promoting global growth and technological exchange. In this interview, we dive deep into Navin’s vision of the logistics industry’s progression and how automation plays an essential feature in shifting the landscape…
Overview
The logistics sector is experiencing a dynamic revolution spearheaded by
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cutting-edge technology. Companies rapidly adopt advanced robotics, AI-driven analytics, and IoT innovations to streamline operations and enhance connectivity.
Acme is at the forefront of this shift, heavily investing in research and development to ensure their solutions remain leading-edge. Their engineering team is dedicated to pioneering new technologies and crafting custom solutions to meet unique operational needs.
Acme has also established strong partnerships with established and emerging tech manufacturers, incorporating advanced products like collaborative robotics and imaging technology into its offerings. It continuously seeks strategic partnerships with businesses and research institutions to keep pace with technological advancements and improve its services.
At Acme, they believe that their employees are their greatest asset. They strongly emphasise their ongoing development, fostering a culture of creative problem-solving and innovation. This commitment ensures that the team is always equipped to handle the demands of a rapidly evolving industry, and their dedication drives their success.
Crossroads and Open Doors
When Acme made its foray into the industrial automation market, it encountered stiff competition from established European and American manufacturers. However, this challenge also presented a unique opportunity. Unlike its rivals, Acme stood out by offering bespoke automation solutions with local, on-the-ground support services. This positioned Acme as the only UAE-based company to design, produce, and maintain advanced automation systems. With their R&D and service teams based locally, Acme is able to offer round-the-clock support, ensuring uninterrupted operations for their clients.
Acme’s expansion into new geographic territories is a clear and strategic move, demonstrating its intent to better serve its customer base. Over the past five years, it has not only strengthened its presence in key markets like Saudi Arabia and India but also extended its reach into Europe and Latin America. The next five years will be dedicated to solidifying and expanding these footholds, with the aim of exporting UAE-made automation solutions worldwide.
To thrive, Acme plans to customize its offerings to meet the distinct needs and regulations of each market, potentially collaborating with local partners for seamless technology integration. This strategy will broaden its service range and elevate the global standing of its solutions.
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Moreover, Acme is unwavering in its commitment to nurturing a skilled workforce in each operational region to support clients and drive innovation. While leveraging regional strengths, Acme’s UAE headquarters will persist
as a global innovation hub, developing versatile automation solutions that can be adapted to international applications. This comprehensive approach guarantees that Acme not only competes on the global stage but
also spearheads the redefinition of global industrial automation standards.
Creativity
At Acme, innovation and creativity thrive as core principles that are seamlessly integrated into everyday operations. They emphasize open communication, championing the free exchange of ideas. This approach allows individuals at all levels to contribute their insights and suggestions but also empowers them, making them feel valued and integral to the company’s operations. Regular development meetings are conducted to discuss customer challenges, fostering cross-departmental brainstorming and sparking innovative solutions.
The company embraces a ‘fail-forward’ philosophy, recognizing that innovation often stems from taking calculated risks and learning from mistakes. This mindset transforms potential setbacks into valuable learning experiences, creating a supportive environment where employees are not only allowed but also encouraged to experiment and pursue new ideas without fear. This approach fosters a sense of safety and encouragement, making employees feel more confident in their innovative endeavors.
Acme places a high value on recognizing and celebrating innovation, from groundbreaking inventions to simple process enhancements. By acknowledging and rewarding creative efforts, they underscore the importance of innovation and inspire the team to continuously explore and push the limits of what’s possible. This emphasis on recognition and celebration not only makes employees feel appreciated but also motivates them to strive for more innovative solutions.
Green Initiatives
Environmental stewardship is now
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NAVIN NARAYAN, CEO of Acme Group
a necessity, not just an option. Companies actively reduce their carbon footprint by adopting local sourcing, sustainable packaging, and electric delivery vehicles. At Acme, sustainability and corporate responsibility are central to its operations. From the beginning, it has emphasized local sourcing of raw materials to decrease transportation emissions and improve efficiency. It also maintains a robust waste management strategy that prioritizes reducing waste generation and collaborates with suppliers and forwarders to utilize ecofriendly packaging and practices.
Energy efficiency is integral to designing Acme’s automation systems. They incorporate energy-conserving components that meet stringent engineering, safety, and functionality standards. They also adopt a lifecycle perspective for their products, ensuring energy-efficient operation and responsible disposal practices.
Acme’s commitment to sustainability goes beyond just adopting energyefficient practices. They see automation as a powerful tool for driving sustainability. By automating processes, they are not just helping companies cut energy use and reduce waste, but also enhancing operational efficiency,
thereby significantly shrinking their environmental footprint. These efforts are not just a part of Acme’s operations, but a testament to their deep commitment to lessening their environmental impact and fostering a greener future.
Foresight
Navin’s goal for Acme is to level the playing field by making advanced automation technologies available to businesses everywhere, regardless of size or location. He envisions a future where these transformative tools are accessible to all, driving industry evolution and facilitating progress. To realize this vision, Acme is committed to crafting scalable automation solutions tailored to the diverse needs of businesses, from budding startups to expansive enterprises. The key to this initiative is user accessibility. Acme is dedicated to developing user-friendly systems complemented by intuitive interfaces and extensive training programs, ensuring businesses can easily integrate and leverage these advanced technologies.
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ECOAID LOGISTICS
The Vital Role of Sustainable Supply Chains in Humanitarian Efforts –From Talks to Actions
Giuseppe Saba, CEO and Board Member of Dubai Humanitarian, shares crucial insights on pioneering sustainable solutions in the supply chain industry for humanitarian aid. The need for sustainable solutions within the supply chain is not just a matter of choice but an urgent necessity in the face of escalating humanitarian crises. While immediate aid provision remains vital, the compounding impacts of climate change and global inequity demand a fundamental shift towards
sustainability. With nearly 300 million worldwide requiring humanitarian aid in 2024, the urgency to revolutionize relief practices by placing sustainability at the core of humanitarian supply chains and not just as an optional plus is undeniable.
Climate change is impacting the humanitarian community, which is trying to cope with the increase in aid demand and simultaneously looking at how humanitarian organizations can contribute to mitigating climate change.
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GIUSEPPE SABA, CEO and Board Member of Dubai Humanitarian
Collaboration as a Cornerstone
Collaboration is not just part of this endeavour but the cornerstone. The collective expertise of donors, academia, the private sector, and humanitarian organizations can drive sustainable change by pooling resources, sharing knowledge, and aligning objectives. Together, we can incentivize sustainability initiatives, provide research and analysis, offer technological solutions, and implement best practices.
Empowerment of Data
Data empowerment is not just an aspect; it is an essential aspect. Informed decision-making relies on accessible and comprehensive data to identify significant polluters, evaluate current practices, and make strategic procurement decisions. Recyclable materials, the lifecycle of relief items, packaging, and waste management are part of the sustainability process. Innovative solutions applicable in the humanitarian field that can contribute to and address sustainability must be considered.
Integrating tools like the Carbon Emissions Tracker into the Humanitarian Logistics Databank empowers organizations to assess their operations’ environmental impact, fostering transparency and collaboration across the sector.
Advanced Procurement
Advanced procurement practices are crucial in redefining sustainability within supply chains. Beyond cost considerations, prioritizing eco-friendly alternatives and supporting suppliers committed to sustainable practices can minimize carbon footprints while promoting environmental stewardship.
As a humanitarian community, we are conscious of the problem, and we recognize that this is a collective responsibility toward future generations and the dignity of our children and grandchildren, who deserve to stay in the right planet conditions. Initiatives such as rallying for sustainable practices before COP28 and advocating for a paradigm shift in decision-making during events like the Humanitarian Networks and Partnerships Weeks demonstrate a commitment to tangible change. Partnerships with institutions like Heriot-Watt University underscore
efforts to inspire innovation and develop sustainable solutions, such as eco-friendly packaging for relief items, but the involvement of the youth is more relevant in this partnership.
Sustainability at the Heart
Sustainability must be seamlessly integrated into every facet of humanitarian work. This entails championing a circular economy, embracing shared responsibility, and influencing manufacturers to adopt circular principles. All stakeholders, from manufacturers to end-users, must advocate for regulations, manage waste, and promote sustainable practices to create a resilient and environmentally conscious future.
As we confront humanitarian crises and climate change, collective action is not just an option but a necessity. Building sustainable supply chains that serve both people and the planet is not a dream but a shared commitment and collaborative effort. Only through such concerted action can we ensure that humanitarian aid is not just about survival but sustainability and resilience, leaving no one behind in our pursuit of a better world.
ECOAID LOGISTICS
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QUIQUP QUEST
Bassel El Koussa, Co-founder and CEO of Quiqup, shares his journey with Vibha Mehta, revealing how the brand is revolutionizing the logistics landscape
Bassel El Koussa, Co-founder and CEO of Quiqup, brings a wealth of experience from industrial manufacturing to private equity and venture capital. At Quiqup, they strive to empower UAE e-commerce brands by streamlining their logistics needs, offering comprehensive services from storage and fulfilment to domestic and international delivery and returns. “We tailor our solutions to fit e-commerce businesses of all sizes, ensuring they can focus on growth while we handle the logistics. Even if you are a starting entrepreneur working from home, you can start delivering your products with the same quality as the biggest brands by simply registering online in 5 minutes,” shares Bassel.
Before discussing their unique differentiators, Quiqup ensures they’ve mastered the basics: offering the fastest delivery speeds in the market with 4-hour and same-day services. This
helps their clients stand out from the competition. Quiqup consistently achieves the highest success rates in the industry, never letting their merchants down, even during peak times when reliability is crucial.
“At the core of it, we see ourselves as an enabler for e-commerce businesses rather than simply a logistics service provider. Our objective is to partner up with our clients and become a driver for their growth,” adds Bassel. To achieve that, we focus on two main areas: the customer and the merchant experience.
First and foremost, Quiqup prioritizes the customer experience post-checkout, designing its entire system to address shopper pain points in the delivery process. It emphasizes minimizing shopper interactions and maximizing delivery success with advanced addressing systems and
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BASSEL EL KOUSSA, Co-founder and CEO of Quiqup
efficient dispatching processes. Shoppers can easily set preferences via WhatsApp or a web app by changing or confirming addresses, adjusting delivery times and dates, and choosing leave-atdoor options. Quiqup aims to provide precise notifications and seamless communication, ensuring customers feel supported throughout their shopping journey.
Second, they focus on the merchant experience. “We understand that merchants have a lot on their plates already and struggle to manage the different pieces that have to come together for their business to succeed,” highlights Bassel. Quiqup has brilliantly streamlined the intricate process of order orchestration, from inventory to parcel and returns, by providing a comprehensive end-to-end solution on a single platform. Today, merchants can integrate their web store with Quiqup within minutes, send their inventory, and focus solely on sales and marketing. They can effortlessly monitor stock levels, accept orders from various sales channels (their website, Amazon, Noon, their retail store, etc.), and manage returns seamlessly—all
through an intuitive digital dashboard. This user-friendly interface ensures everything is visible and accessible, revolutionizing how merchants handle their logistics.
Consumers in the UAE and the Middle East are increasingly drawn
to personalized digital shopping experiences and seamless onlineoffline integration. They highly value swift, precise deliveries and flexible options like 4-hour, same-day, or next-day delivery. This shift towards personalized digital shopping is driven by emerging technologies and innovative platforms, which enable businesses to better understand and cater to evolving customer needs.
Moreover, the rise of homegrown independent brands is reshaping the e-commerce landscape. Services like Quiqup, Zid, Salla, Shopify, and Tabby have simplified the launch process for new businesses, eliminating the need for large teams or technical expertise. As a result, consumers are now more confident in online shopping, seeking unique experiences from valuedriven brands like Giving Movement, Squatwolf, and Sporter. These brands captivate customers with distinctive products and engaging shopping experiences, fueling the dynamic growth of the e-commerce market.
“We are a tech company! The entire business has been built bottom-
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up with a tech and design-first approach. The whole experience with Quiqup is digital, from online registration to the completion of delivery at the shopper’s doorstep,” comments Bassel. It begins with a simple API integration or a Shopify/ WooCommerce plug-in that grants clients access to the system. Once connected, clients can use Quiqdash, the control centre for e-commerce operations. Here, they can monitor the flow of orders into the system, track the status and journey of each order, and manage stock movement for their stored inventory. Behind this seamless flow is an array of internal ops tech tools that meticulously guide and capture realworld events step by step, ensuring that service levels for each order are met. This includes moving an item off the shelf into a parcel, incorporating that parcel into a delivery route, matching the route to the appropriate driver, and providing the driver with instructions via their app to complete deliveries. All these processes are overseen by a control tower that monitors and ensures everything goes according to plan, orchestrating a flawless e-commerce operation.
Furthermore, their driver application provides couriers with the best communication practices to ensure customers feel supported and valued. By tracking driver actions and customer feedback, they continually refine courier performance, striving to deliver the highest customer satisfaction. These technological advancements are essential for responding swiftly to changes in demand and scaling operations efficiently. By continually investing in technology, Quiqup is dedicated to enhancing logistics solutions and boosting customer satisfaction, solidifying its position as a leader in the logistics industry for e-commerce SMEs.
The e-commerce sector faces several challenges, including moving beyond basic services to offer a comprehensive customer experience. This requires leveraging digital tools to address broader customer needs and managing complex multichannel operations. For instance, businesses might need to integrate their online stores with physical locations, necessitating seamless communication between the two systems.
Another significant challenge is meeting the rising customer expectations for faster delivery and better service. Bassel adds, “Companies must navigate increasing acquisition costs and intense competition from large integrated e-commerce marketplaces such as Amazon and Noon. Small and medium-sized retailers often find it difficult to match the services provided by these large players due to limited resources and technical capabilities. Therefore, these retailers must adopt scalable and efficient e-commerce strategies.”
Companies like Quiqup and Shopify are helping level the playing field by offering enterprise-grade services to the broader market. By leveraging these technologies, smaller retailers can provide service that rivals their larger competitors.
In the next five to ten years, Quiqup envisions transforming into a regional leader in integrated commerce, facilitating seamless omnichannel experiences that merge digital and physical retail. Quiqup aims to assist businesses in the region expand beyond their local markets and reach global clients through a single platform, providing the same delivery speeds and seamless experience as in their home market. Additionally, merchants can manage all their deliveries and stock, whether they sell via their online store, offline retail shop, marketplace, or a combination of these channels. Quiqup’s objective is to simplify the process for every e-commerce business to become a global player. “Logistics providers must offer seamless, integrated services that cater to these evolving preferences, enhancing speed, reliability, and customer satisfaction,” concludes Bassel.
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LNME
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WALID KHOURY, Managing Director of ALS Logistic Solutions
UNVEILING AUTOMATED LOGISTICS
Walid Khoury, Managing
Director of ALS Logistic Solutions, decodes the future leaps in logistics automation...
ALS Logistic Solutions, founded in Germany over 30 years ago with branches in UAE, Malaysia, Singapore and Germany is one of the largest suppliers of automation with a worldwide footprint. Its material handling and automation portfolio covers a full range of all solutions from manual operations to fully automated solutions, consisting of, but not limited to systems for Air Cargo Handling, Modular Warehouse Equipment, Industrial Facility Automation, Express Handling, and Car Parks.
The company plays a critical role in enhancing the efficiency of logistics operations through automation by implementing
advanced technologies such as automated storage and retrieval systems, automated guided vehicles and robotics helping companies streamline their workflows, reduce labour costs and increase throughput. Naturally, ALS provides maintenance and technical support to ensure the smooth operation of its systems and to maximise their lifespan and performance.
Innovative Progress
In terms of technological advancements in logistics automation, ALS Logistic Solutions has implemented important practices to enhance efficiency and optimise material handling, including the following:
- Automated Storage and Retrieval Systems (ASRS): ALS has developed advanced ASRS technologies designed to maximise storage space and improve inventory management. These systems can be tailored to specific needs, offering benefits such as faster order processing, reduced labour costs and improved accuracy.
- Elevating Transfer Vehicles (ETV): These systems automate the storage and retrieval of air cargo pallets and ULDs, enhancing the efficiency and safety of cargo operations. They are integrated with Warehouse Management Systems to facilitate seamless storage, transfer and retrieval.
- Shuttle Systems: Shuttles provide high performance and flexibility for order fulfilment, particularly useful in microfulfilment and e-commerce settings. These systems optimise space usage and material flow, making them ideal for storing sensitive and high value items.
Positive Impact
The company has significantly improved operational efficiency and productivity for clients in various industries in different ways:
- Streamlined Warehouse Operations: ALS Automated Storage and Retrieval Systems enhance efficiency by automating the storage and retrieval of goods, reducing the time and labour required. This leads to faster inventory turnover and more efficient use of warehouse space. Our systems reduce manual handling time, increase accuracy and ensure consistent quality.
- Improved Inventory Management: Our systems provide realtime updates on inventory levels, locations, and movements. This helps in maintaining optimal stock levels and improving inventory accuracy.
- Optimised workforce Utilisation: Automation helps optimise the allocation of labour by identifying peak periods and distributing workload.
- Enhanced Quality Control: Automation in quality control processes ensures accurate inspection of goods, maintaining high product quality standards.
- Scalability and Flexibility: ALS systems can be easily scaled up or down to match demand fluctuations, providing flexibility and adaptability in operations.
- Cost Savings: Automation reduces the need for manual
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labour, lowers error rates, leading to significant cost savings.
- Improved Customer Satisfaction:
Our automation speeds up order processing and fulfilment, resulting in quicker delivery times and improved customer satisfaction.
Barriers
Integrating automation into logistics processes offer substantial benefits, but it also comes with a range of challenges that companies need to address to ensure a successful implementation:
- Change Management: Employees may resist changes due to fear of job loss and need to be trained to work with new automated systems.
- Scalability Issues: While automation systems can be scalable, expanding these systems to match growth can pose challenges. ALS Automated systems are flexible enough to adapt to changes in business processes, product lines and market demands.
- Initial Costs: Implementing automation requires investment in technology. This can be a barrier for small enterprises.
- Data Management and Security: Automation increases the amount of digital data and the number of connected devices, which can be vulnerable to cyberattacks.
Sustainability
Automation contributes to sustainability in several ways:
- Energy Efficiency: Automated systems are designed to operate more efficiently, using energy only when necessary. Warehouse management systems can optimize lighting and ventilation based on operational needs.
- Improved Inventory Management: Automation enables precise inventory tracking and demand forecasting, helping businesses maintain optimal stock levels.
- Sustainable Packaging: Automation
ensures precise cutting and assembly, reducing the excess use of packaging materials.
- Reduced Footprint: Automated storage solutions maximise the use of vertical space, allowing warehouses to store more goods in a smaller footprint.
- Enhanced Visibility: Automated systems provide real-time visibility into the supply chain, allowing for better coordination.
- Lifecycle Management: Systems can track products throughout their lifecycle, ensuring that items are used and recycled appropriately.
Future Trends
At ALS, we think that within the next ten years several key trends are expected to emerge in logistics automation:
- Autonomous Vehicles: The deployment of autonomous trucks will become more common. The use of autonomous delivery robots and drones for last-mile deliveries will expand in urban areas.
- AI and Machine Learning Integration will be increasingly used for predictive analytics to forecast demand and optimise inventory levels.
- Automation in Warehousing: The trend toward fully automated warehouses will accelerate, with advanced systems handling everything from storage and retrieval to sorting and packing.
- The Internet of Things (IoT) will connect a growing number of devices in logistics operations, providing realtime data on the location and status of goods.
- Enhanced Customer Experience: Automation will enable more personalised delivery options and realtime tracking updates.
- Enhanced Cybersecurity Measures: Blockchain technology will play a key role in enhancing security and transparency in logistics.
ALS Logistic Solutions is preparing for future automation trends by adopting advanced technologies, integrating AI and IoT, committing to sustainability, enhancing customer experiences, strengthening cybersecurity, investing in talent and training, focusing on research and development, and ensuring scalability and flexibility in our solutions. These efforts position ALS to effectively meet the challenges and opportunities of the evolving logistics landscape.
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ALLIED SUCCESS
IVECO and Arabian Auto Agency have outfitted Theeb Rent A Car Co. in Saudi Arabia with 55 Daily vehicles
IVECO, in partnership with Arabian Auto Agency (AAA), has successfully delivered 55 Daily vans to Theeb Rent A Car Co., significantly bolstering the rental giant’s operations across Saudi Arabia. This delivery from IVECO and AAA, the official dealer in the Kingdom, includes the Daily 50C15V18 model, renowned for its 18m3 loading capacity and versatility. The handover took place in Riyadh, marking a notable expansion of Theeb’s extensive fleet, which has grown from a modest beginning in 1991 to over 33,000 vehicles across more than 52 branches today.
These specially equipped Dailies feature refrigerator units tailored for Shahina Logistics to distribute meat products efficiently to major supermarket chains throughout the nation. With this addition, Theeb continues to diversify and strengthen its service offerings, catering to a broad spectrum of sectors with both short-term and long-term rental solutions.
The vehicles, produced at the
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IVECO and Arabian Auto Agency have outfitted Theeb Rent A Car Co. in Saudi Arabia with 55 Daily vehicles
IVECO plant in Suzzara, Italy, were customized with refrigeration units installed directly in Riyadh to meet specific local needs. This customization underscores IVECO’s commitment to providing tailored solutions that cater to the logistical and operational challenges of its clients.
Fayez Alsino, Regional Sales Manager of Arabian Auto Agency, commented: “Since the beginning of 2024, the Arabian Auto Agency Co. has recorded great achievements and signed highclass strategic partnerships, these are the results of what we have achieved during the previous years of hard work, maintaining the level of service and customer satisfaction, and we will work to reach the summit as we aspire. One of the most important partnerships that took place this year is the deal with Theeb Rent A Car Co., as Theeb Company is considered the largest car rental and operational leasing company in Saudi Arabia, with a huge fleet of various sizes and types and they meet all the needs of companies and individuals.”
“Where an agreement was signed to supply 55 Daily van model 50C15V18, as they will be an important part of their fleet, we are proud of this partnership and we are fully confident that the Daily is a major reason for the success of their application.”
Alberto Pellegrini, IVECO Business Manager for Saudi Arabia, added:
“This is another strong signal of IVECO continuous growth in this key Saudi Arabian market through its full range of vehicles; after the recent deliveries that saw our IVECO S-Way, IVECO T-Way and Eurocargo models taking the scene, we are now recording this further achievement in the very challenging light commercial vehicle sector, which in the Middle East, is generally dominated by the Asian Cab-Over type of vehicles. The KSA market is quickly upgrading its level and IVECO together with its official distributor Arabian Auto Agency, is ready to take up the challenge!”
IVECO Daily: Elevate Your Drive
The IVECO Daily stands as the pinnacle of versatility in its class. With its comprehensive range of models and customizable options, the Daily is engineered to align perfectly with
your business and operational needs, whatever they may be.
Offering the broadest spectrum in its category, the Daily stretches from a 3.5 ton to a 7.2 ton gross vehicle weight with wheelbases ranging from 3000 to 5100 mm. This versatility makes it suitable for a myriad of tasks from urban deliveries to demanding construction jobs. Its design allows for a myriad of bodywork customizations, adapting to specialized requirements like ambulances or rescue vehicles with ease.
Revolutionary Comfort with New Memory Foam Seats
The Daily introduces an innovative driver seat, a first in the Light Commercial Vehicle sector, equipped with memory foam in the cushion and backrest. This foam conforms to the driver’s body, evenly distributing weight and reducing pressure peaks by up to 30%, which enhances comfort and minimizes back pain. The side sections of the seat have been enhanced with 15mm of high-density foam to improve lateral support, boosting safety and the overall driving experience. Additionally, the seat’s dimensions have been increased to provide better leg support for taller individuals, and the redesigned seat side carter and levers simplify entering and exiting the vehicle—ideal for jobs requiring frequent stops.
ALLIED SUCCESS
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TOP 5 GAME-CHANGERS IN LOGISTICS TO WATCH
Words by: Aya Zhang
The logistics industry is poised for significant transformations driven by technological advancements and innovation. Here are some key trends to keep an eye on:
1. Automation and Robotics
Automation and robotics are not just revolutionizing logistics operations, they are also enhancing efficiency and reducing costs. The adoption of autonomous vehicles, drones, and robotic sorting systems in warehouses and distribution centers is a testament to this. These technologies are not just streamlining operations, but also improving accuracy and safety in
handling goods, painting a promising future for the logistics industry.
2. Green Logistics
Sustainability is not just a buzzword, it’s a critical component of modern logistics. Companies are increasingly focusing on reducing their carbon footprints by adopting electric vehicles, optimizing delivery routes, and implementing green packaging solutions. The integration of renewable energy sources into logistics operations is not just a trend, it’s a necessity, aligning with global efforts to combat climate change.
3. Digital Twins
Digital twins technology, which creates virtual replicas of physical assets, is set to transform logistics management. By simulating real-world scenarios, digital twins enable companies to optimize their supply chain operations, anticipate disruptions, and improve decision-making. According to a recent study, companies that have implemented digital twins have seen a 20% increase in supply chain efficiency. Coupled with predictive analytics, these tools provide valuable insights into demand forecasting and inventory management, leading to a 15% reduction in stockouts and a 10% increase in sales.
4. Cybersecurity
The vast quantities of sensitive information companies store, including details about shipments, routes, customers, and financial transactions, make cybersecurity a significant aspect of the logistics industry. However, implementing advanced encryption technologies and continuous monitoring systems to detect and mitigate cyber threats can be a complex and costly process, requiring significant investment and expertise.
5.
Blockchain technology
Blockchain is not just being explored, it’s being hailed for its potential to significantly enhance transparency, traceability, and security in supply chain management, particularly for tracking goods’ movement. This technology has the power to revolutionize the way we manage supply chains, instilling a sense of confidence in the logistics industry. The next few years hold the potential for substantial progress within the logistics sector, propelled mainly by technological innovation, sustainability efforts, and heightened security measures. By proactively embracing these trends, logistics companies can elevate their performance, fulfill evolving consumer expectations, and play a pivotal role in fostering a more environmentally responsible future.
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